Two states advanced legislation this week that if passed into law, would ban sweepstakes casinos.
Connecticut sent Senate Bill 1235 out of a State Senate committee to be debated by lawmakers and a possible future vote. The measure would eliminate what state regulators see as unlawful gambling.
Similarly, Louisiana lawmakers sent Senate Bill 181 to its Senate Judiciary B Committee for discussion and revisions that would prohibit sweepstakes casino games in the deep southern state.
Sweepstakes casinos, which utilize non-tender coins or tokens, are viewed by some states as an effort to skirt legal gambling regulations. Ten states have now introduced anti-sweepstakes casino legislation. New York, for example, is now debating its sweepstakes casino ban bill for a third time.
Connecticut Bill Passes Senate Committee Unopposed
The Connecticut sweepstakes casino ban takes aim at games that allow consumers to play these online apps that offer casino style games for play using coins or tokens. As players accumulate the tokens, they can redeem them for prizes or cash. Because real money is not used to place the “bets” in these games, sweepstakes casinos claim they are exempt from gaming laws.
Language in the Connecticut bill asserts that “no person shall conduct or promote a sweepstakes or a promotional drawing authorized by the provisions of section 53-278g.” Further, SB1235 says such games are unlawful if “not related to the bona fide sale of goods, services or property, uses a simulated gambling device, or allows or facilitates participation in any real or simulated online casino gaming or sports wagering, unless such person is licensed under chapter 229b [of CT gambling code]”
SB1235 passed 37-0 from the Senate Committee on Judiciary. That followed a 22-0 approval from the Joint Committee on General Law in March.
Next up comes review by Connecticut’s Office of Legislative Research and Office of Fiscal. That will take place May 5.
Also tucked into SB1235 is a prohibition on lottery couriers. Those entities, such as Jackpot.com, offer online sales of retail lottery tickets. A handful of states are taking action to curb or ban that practice. One concern is the inability for courier agents to guarantee that tickets are not being sold to minors.
Many states sell their own lottery tickets online, but require a state-issued identification card to complete the transaction.
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